11 Aug blockchain startup Tether released tokens USDT $50 million. Thus, the total number of coins in circulation rose to 2.41 billion, while the capitalization of the cryptocurrencies is $2.43 billion.
Issue tokens coincided with the rise in Bitcoin to $300, subject to the March situation, when the rate of BTC increased after the issue USDT, it appears that the Tether is manipulating the price of the leading cryptocurrency. According to the researchers, during periods of high activity Tether there are sharp jumps in the cost of Bitcoin.
CEO of Tether, Jean-Louis van der Velde was quick to refute these assumptions: “the Company Tether never engaged in market manipulation. Issue tokens USDT can not affect the price of another cryptocurrency”.
Tether – a controversial project
Tether around the project sparked controversy. It is important to note that USDT is “stable coin”, that is, its exchange rate pegged to the dollar, so each coin must be secured 1$. The company management claims that the capital of the company is $2.5 billion, but, until now, have not been audited. In June of this year, the Tether lawyer said the Bank accounts of the enterprise is the amount in dollars, the equivalent amount of tokens. However, the data on these accounts have not been published, which puts into question the reality of their existence.
Cryptocurrency exchange Bitfinex is closely associated with the start-up Tether, and this did not improve his reputation. In April, the exchange became the object of accusations of complicity in money laundering. Supposedly for this purpose Bitfinex opened a Bank account in Poland, however, law enforcement agencies had no evidence linking the leadership of the exchange with the smugglers, who allegedly used the Bank account Bitfinex in criminal activities.